Top 10 Securities Firms Increase Equity Capital by 22 Trillion Won in Five Years

Top 10 Securities Firms Reach 72 Trillion Won in Consolidated Equity Capital in Q1
Securities Firms Evolving into Comprehensive Financial Platforms by Strengthening Capital Base
Capital Expansion Expected to Continue with Introduction of IMA and Increased Overseas Investments

Since the beginning of this year, the stock prices of domestic securities firms have shown a significant upward trend, and the top 10 securities companies in Korea have increased their equity capital by more than 22 trillion won over the past five years. With the introduction of Integrated Investment Accounts (IMA) and the expansion of overseas investments, securities firms are expected to accelerate their capital expansion even further.

According to the Financial Supervisory Service's electronic disclosure system on June 26, the consolidated equity capital of the top 10 domestic securities firms?Mirae Asset, Korea Investment, NH Investment, Samsung, KB, Meritz, Hana, Shinhan Investment, Kiwoom, and Daishin Securities?stood at approximately 72.1051 trillion won in the first quarter of this year. This represents an increase of more than 22 trillion won compared to 49.8877 trillion won in 2020, five years ago.

Mirae Asset Securities ranked first in terms of equity capital, recording 12.3338 trillion won. This is an increase of nearly 3 trillion won from the 9 trillion won range five years ago. Korea Investment & Securities expanded its equity capital from the 5 trillion won range in 2020 to the 9 trillion won range in the first quarter of this year. Meritz Securities recorded 7.367 trillion won in equity capital in the first quarter of this year, a 15.62% increase from the end of last year (6.9042 trillion won), surpassing the 7 trillion won mark.

By expanding their capital base, securities firms are evolving beyond the simple role of brokerage to become comprehensive financial platforms in areas such as pensions, wealth management (WM), and digital services. They are actively adopting new technologies such as artificial intelligence (AI) to introduce innovative financial services, while also entering global markets to export domestic financial services. For example, Mirae Asset Securities acquired Mirae Asset Sharekhan in India and has advanced into 11 countries, managing 40 trillion won in global equity assets and establishing itself as a global investment specialist.

Competition among securities firms to expand their capital is expected to intensify going forward. This is because, under the IMA system being promoted by financial authorities, the size of a firm's equity capital is directly linked to its ability to handle various products. In April, financial authorities announced measures to enhance the corporate finance competitiveness of the securities industry and stated that they would designate issuers of promissory notes and IMA operators in the third quarter. Securities firms with standalone equity capital of at least 4 trillion won can apply for approval to issue promissory notes, while those with at least 8 trillion won can apply for IMA approval. Currently, Kiwoom Securities, Meritz Securities, Hana Securities, Shinhan Investment Securities, and Samsung Securities, all of which meet the 4 trillion won threshold, are expected to apply for approval to issue promissory notes. Mirae Asset Securities and Korea Investment & Securities, which meet the 8 trillion won requirement, are expected to enter the IMA business.

In addition, as investment areas such as overseas market entry, mergers and acquisitions (M&A), and digital assets expand, securing a foundation to respond to the market has become an essential task. An industry insider said, "As the business of the financial investment industry diversifies and global economic uncertainty increases, strong capital strength is more essential than anything else for securities firms to provide stable services. Capital strength is not just about financial soundness; it is becoming a core competitive edge that allows firms to seize new investment opportunities and respond flexibly even in times of crisis."